FORM 10-Q

                      SECURITIES AND EXCHANGE COMMISSION

                           Washington, D.C.  20549

(Mark One)

[x]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934

    For the quarterly period ended  September 30, 1999
                                    -----------------
                                             or

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934

     For the transition period from          to
                                    --------    --------

Commission file number    0-21718
                          -------

             BOSTON CAPITAL TAX CREDIT FUND III L.P.
-----------------------------------------------------------------
           (Exact name of registrant as specified in its charter)

           Delaware                           52-1749505
--------------------------------    -----------------------------
 (State or other jurisdiction of             (I.R.S. Employer
incorporation or organization)                Identification No.)

  One Boston Place, Suite 2100,  Boston, Massachusetts   02108
-----------------------------------------------------------------
   (Address of principal executive offices)          (Zip Code)

Registrant's telephone number, including area code (617) 624-8900
                                                   --------------

-----------------------------------------------------------------
(Former name, former address and former fiscal year, if changed
since last report)

     Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2)has been subject to such filing
requirements for the past 90 days.

                            Yes   X          No
                                ------           ------


                   BOSTON CAPITAL TAX CREDIT FUND III L.P.
             --------------------------------------------------



                        QUARTERLY REPORT ON FORM 10-Q
                   FOR THE QUARTER ENDED September 30, 1999
              -----------------------------------------------


                              TABLE OF CONTENTS
                              -----------------



 PART I - FINANCIAL INFORMATION

   Item 1.  Financial Statements..............................

            Balance Sheets....................................
            Statements of Operations..........................
            Statement of Changes in Partners' Capital.........
            Statements of Cash Flows..........................
            Notes to Financial Statements.....................
   Item 2.  Management's Discussion and Analysis of
            Financial Condition and Results
            of Operations.....................................

PART II - OTHER INFORMATION

   Item 6.  Exhibits and Reports on Form 8-K..................

            Signatures........................................






















                   Boston Capital Tax Credit Fund III L.P.

                                 BALANCE SHEETS

                                           September 30,     March 31,
 1999            1999
                                            (Unaudited)      (Audited)
ASSETS                                     ------------     ----------

INVESTMENTS IN OPERATING
  PARTNERSHIPS (Note D)                     $102,836,731   $108,418,478

OTHER ASSETS
Cash and cash equivalents                      1,826,675      1,693,799
Investments                                    2,121,657      2,237,166
Notes receivable                               1,364,322      1,364,322
Deferred acquisition costs,
  net of accumulated amortization (Note B)     1,577,796      1,612,244
Organization costs, net of
  accumulated amortization (Note B)                    -            170
Other assets                                   2,764,210      2,459,125
                                             -----------    -----------
                                            $112,491,391   $117,785,304
                                             ===========    ===========
LIABILITIES

Accounts payable & accrued
  expenses (Note C)                         $      9,043   $      4,553
Accounts payable affiliates                   12,979,634     11,385,333
Capital contributions payable (Note D)         1,592,677      1,595,177
                                             -----------    -----------
                                              14,581,354     12,985,063
                                             -----------    -----------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 21,996,102 issued and
  outstanding, as of June 30, 1999            98,820,597    105,641,899
General Partner                                 (910,560)     (841,658)
                                             -----------    -----------
                                              97,910,037    104,800,241
                                             -----------    -----------
                                            $112,491,391   $117,785,304
                                             ===========    ===========

       The accompanying notes are an integral part of these statements.
                                     1


              Boston Capital Tax Credit Fund III L.P.

                              BALANCE SHEETS

                                                     SERIES 15
                                           ----------------------------
                                         September 30,        March 31,
                                              1999              1999
                                           (Unaudited)        (Audited)
ASSETS                                     -----------       ---------

INVESTMENTS IN OPERATING
   PARTNERSHIPS (Note D)                   $13,237,869      $14,142,163

OTHER ASSETS
Cash and cash equivalents                      289,781          306,884
Investments                                    135,167          128,028
Notes receivable                                32,170           32,170
Deferred acquisition costs,
  net of accumulated amortization (Note B)     241,768          247,024
Organization costs, net of
  accumulated amortization (Note B)                  -                -
Other assets                                   836,633          807,527
                                            ----------       ----------
                                           $14,773,388      $15,663,796
                                            ==========       ==========
LIABILITIES

Accounts payable and accrued
   expenses (Note C)                       $     1,928      $     1,145
Accounts payable affiliates                  3,450,387        3,155,784
Capital contributions payable (Note D)          32,922           32,922
                                            ----------       ----------
                                             3,485,237        3,189,851
                                            ----------       ----------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 3,870,500 issued and
  outstanding, as of June 30, 1999          11,507,941       12,681,877
General Partner                               (219,790)        (207,932)
                                            ----------       ----------
                                            11,288,151       12,473,945
                                            ----------       ----------
                                           $14,773,388      $15,663,796
                                            ==========       ==========

         The accompanying notes are an integral part of these statements.
                                     2


                  Boston Capital Tax Credit Fund III L.P.

                                BALANCE SHEETS

                                                    SERIES 16
                                           ----------------------------
                                           September 30,      March 31,
                                                1999             1999
                                      (Unaudited)       (Audited)
ASSETS                                       -----------     ---------

INVESTMENTS IN OPERATING
   PARTNERSHIPS (Note D)                     $25,406,603    $27,165,227

OTHER ASSETS
Cash and cash equivalents                        179,951        213,451
Investments                                      894,067        884,449
Notes receivable                                       -              -
Deferred acquisition costs
  net of accumulated amortization (Note B)       387,596        396,021
Organization costs, net of
  accumulated amortization (Note B)                    -              -
Other assets                                     146,512        133,695
                                              ----------     ----------
                                             $27,014,729    $28,792,843
                                              ==========     ==========
LIABILITIES

Accounts payable & accrued
   expenses (Note C)                         $     1,164    $         -
Accounts payable affiliates                    3,073,056      2,727,066
Capital contributions payable (Note D)           140,006        142,506
                                              ----------      ---------
                                               3,214,226      2,869,572
                                              ----------      ---------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 5,429,402 issued and
  outstanding, as of September 30, 1999       24,029,107     26,130,647
General Partner                                 (228,604)      (207,376)
Unrealized gain (loss) on securities
  available for sale, net                              -              -
                                              ----------     ----------
                                              23,800,503     25,923,271
                                              ----------     ----------
                                             $27,014,729    $28,792,843
                                              ==========     ==========

       The accompanying notes are an integral part of these statements.
                                     3


                     Boston Capital Tax Credit Fund III L.P.

                                  BALANCE SHEETS

                                                     SERIES 17
                                            -------------------------
                                          September 30,      March 31,
                                              1999             1999
                                           (Unaudited)       (Audited)
ASSETS                                     -----------       ---------

INVESTMENTS IN OPERATING
   PARTNERSHIPS (Note D)                     $23,539,337    $24,774,196

OTHER ASSETS
Cash and cash equivalents                        451,130        349,189
Investments                                            -        100,000
Notes receivable                               1,332,152      1,332,152
Deferred acquisition costs
  net of accumulated amortization (Note B)       349,873        357,648
Organization costs, net of
  accumulated amortization (Note B)                    -              -
Other assets                                   1,692,418      1,425,347
                                              ----------     ----------
                                             $27,364,910    $28,338,532
                                              ==========     ==========
LIABILITIES

Accounts payable & accrued
   expenses (Note C)                         $       928     $        -
Accounts payable affiliates                    3,592,978      3,035,918
Capital contributions payable (Note D)         1,367,195      1,367,195
                                              ----------     ----------
                                               4,961,101      4,403,113
                                              ----------     ----------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 5,000,000 issued and
  outstanding, as of September 30, 1999       22,609,450     24,125,744
General Partner                                 (205,641)      (190,325)
                                              ----------     ----------
                                              22,403,809     23,935,419
                                              ----------     ----------
                                             $27,364,910    $28,338,532
                                              ==========     ==========

      The accompanying notes are an integral part of these statements.
                                     4


                     Boston Capital Tax Credit Fund III L.P.

                                BALANCE SHEETS
                                                   SERIES 18
                                          -----------------------
                                          September 30,     March 31,
                                             1999             1999
                                          (Unaudited)      (Audited)
ASSETS                                   ------------      ----------

INVESTMENTS IN OPERATING
   PARTNERSHIPS (Note D)                  $18,015,755     $18,832,106

OTHER ASSETS
Cash and cash equivalents                     298,954         306,065
Investments                                   233,302         230,531
Notes receivable                                    -               -
Deferred acquisition costs,
  new of accumulated amortization (Note B)    263,449         269,156
Organization costs, net of
  accumulated amortization (Note B)                 -               -
Other assets                                   61,030          56,099
                                           ----------      ----------
                                          $18,872,490     $19,693,957
                                           ==========      ==========
LIABILITIES

Accounts payable & accrued
   expenses (Note C)                      $       856     $         -
Accounts payable affiliates                 1,545,963       1,354,989
Capital contributions payable (Note D)         18,554          18,554
                                           ----------       ---------
                                            1,565,373       1,373,543
                                           ----------       ---------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 3,616,200 issued and
  outstanding, as of Septmeber 30, 1999    17,444,273      18,447,437
General Partner                              (137,156)       (127,023)
                                           ----------      ----------
                                           17,307,117      18,320,414
                                           ----------      ----------
                                          $18,872,490     $19,693,957
                                           ==========      ==========

      The accompanying notes are an integral part of these statements.
                                     5


                 Boston Capital Tax Credit Fund III L.P.
 ,
                                BALANCE SHEETS

                                                   SERIES 19
                                            ---------------------------
       September 30,     March 31,
                                               1999            1999
                                            (Unaudited)      (Audited)
ASSETS                                    ------------      ----------

INVESTMENTS IN OPERATING
PARTNERSHIPS (Note D)                      $22,637,167     $23,504,786

OTHER ASSETS
Cash and cash equivalents                      606,859         518,210
Investments                                    859,121         894,158
Notes receivables                                    -               -
Deferred acquisition costs,
  net of accumulated amortization (Note B)     335,110         342,395
Organization costs, net of
  accumulated amortization (Note B)                  -             170
Other assets                                    27,617          36,457
                                             ---------      ----------
                                           $24,465,874     $25,296,176
                                            ==========      ==========
LIABILITIES

Accounts payable & accrued
  expenses (Note C)                        $     4,167     $     3,408
Accounts payable affiliates                  1,317,250       1,111,576
Capital contributions payable (Note D)          34,000          34,000
                                             ---------       ---------
                                             1,355,417       1,148,984
                                             ---------       ---------
PARTNERS' CAPITAL

Limited Partners
  Units of limited partnership interest,
  $10 stated value per BAC; 22,000,000
  authorized BACs; 4,080,000 issued and
  outstanding, as of September 30, 1999     23,229,826      24,256,194
  General Partner      				    (119,369)       (109,002)
                                            ----------      ----------
                                            23,110,457      24,147,192
                                            ----------    ----------
                                           $24,465,874     $25,296,176
                                            ==========      ==========

     The accompanying notes are an integral part of these statements.
                                     6


                  Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF OPERATIONS

                       Three Months Ended September 30,
                              (Unaudited)



                                             1999         1998
                                             ----         ----

Income
  Interest income                       $    44,332   $    52,498
  Other Income                               12,900             -
                                          ---------     ---------
                                             57,232        52,498
Share of loss from Operating
  Partnerships (Note D)                  (2,831,342)   (3,221,843)
                                          ---------     ---------

Expenses
  Professional fees                         110,850       117,330
  Fund management fee (Note C)              574,925       613,131
  Amortization                               17,224        42,963
  General and administrative expenses        33,074        41,490
                                          ---------     ---------
                                            736,073       814,914
                                          ---------     ---------

  NET LOSS                              $(3,510,183)  $(3,984,259)
                                         ==========    ==========

Net loss allocated to limited
  partners                              $(3,475,081)  $(3,944,414)
                                         ==========    ==========

Net loss allocated general
  partner                               $   (35,102)  $   (39,845)
                                         ==========    ==========

Net loss per BAC                        $      (.77)  $      (.09)
                                         ==========    ==========




       The accompanying notes are an integral part of these statements.
                                     7


                Boston Capital Tax Credit Fund III L.P.

                       STATEMENTS OF OPERATIONS

                    Three Months Ended September 30,
                            (Unaudited)

                                                      SERIES 15
                                               -----------------------
                                                  1999          1998
                                                  ----          ----
Income
  Interest income                              $   6,346     $   2,344
                                                 -------       -------

Share of loss from Operating
  Partnerships (Note D)                         (392,273)     (540,027)
                                                 -------       -------

Expenses
  Professional fees                               27,120        30,642
  Fund management fee (Note C)                   115,958       131,763
  Amortization                                     2,628         2,628
  General and administrative expenses              7,553         7,845
                                                 -------       -------
                                                 153,259       172,878
                                                 -------       -------

  NET LOSS                                     $(539,186)    $(710,561)
                                                ========      ========

Net loss allocated to limited
  partners                                     $(533,794)    $(703,454)
                                                ========      ========

Net loss allocated to general
  partner                                      $  (5,392)    $  (7,107)
                                                ========      ========

Net loss per BAC                               $    (.13)    $    (.18)
                                                ========      ========




       The accompanying notes are an integral part of these statements.
                                     8


            Boston Capital Tax Credit Fund III L.P.

                        STATEMENTS OF OPERATIONS

                      Three Months Ended September 30,
                              (Unaudited)


                                                     SERIES 16
                                             ------------------------
                                                  1999         1998
                                                  ----         ----
Income
  Interest income                           $    12,421   $    16,303
  Other Income                                      150             -
                                                -------     ---------
                                                 12,571        16,303
Share of loss from Operating
  Partnerships (Note D)                        (928,850)     (744,267)
                                                -------     ---------

Expenses
  Professional fees                              29,870        30,244
  Fund management fee (Note C)                  162,551       162,005
  Amortization                                    4,213         4,213
  General and administrative expenses            10,241        10,543
                                                -------      --------
                                                206,875       207,005
                                                -------      --------

  NET LOSS                                  $(1,123,154)  $  (934,969)
                                              =========    ==========

Net loss allocated to limited
  partners                                  $(1,111,922)  $  (925,619)
                                               ========    ==========

Net loss allocated to general
  partner                                   $   (11,232)  $    (9,350)
                                               ========    ==========

Net loss per BAC                            $      (.21)  $      (.17)
                                               ========    ==========




       The accompanying notes are an integral part of these statements.
                                     9


                Boston Capital Tax Credit Fund III L.P.

                        STATEMENTS OF OPERATIONS

                     Three Months Ended September 30,
                             (Unaudited)


                                                     SERIES 17
                                             ------------------------
                                                1999           1998
                                               ------         ------
Income
  Interest income                          $     3,302    $     1,809
  Other Income                                  11,850              -
                                             ---------      ---------
                                                15,152          1,809
Share of loss from Operating
  Partnerships (Note D)                       (625,056)      (702,557)
                                             ---------      ---------

Expenses
  Professional fees                             22,120         22,890
  Fund management fee (Note C)                 125,592        138,342
  Amortization                                   3,887         12,534
  General and administrative expenses            1,458          8,822
                                             ---------      ---------
                                               153,057        182,588
                                             ---------      ---------

  NET LOSS                                 $  (762,961)   $  (883,336)
                                            ==========     ==========

Net loss allocated to limited
  partners                                 $  (755,331)   $  (874,522)
                                            ==========     ==========

Net loss allocated to general
  partner                                  $    (7,630)   $    (8,814)
                                            ==========     ==========

Net loss per BAC                           $      (.15)   $      (.18)
                                            ==========     ==========




       The accompanying notes are an integral part of these statements.
                                     10


                Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF OPERATIONS

                      Three Months Ended September 30,
                              (Unaudited)


                                                     SERIES 18
                                               ----------------------
                                                 1999          1998
                                                 ----          ----
Income
  Interest income                             $   4,556     $   7,280
                                                -------       -------

Share of loss from Operating
  Partnerships (Note D)                        (474,421)     (533,849)
                                                -------       -------

Expenses
  Professional fees                              17,120        18,052
  Fund management fee (Note C)                   70,487        80,434
  Amortization                                    2,853        10,542
  General and administrative expenses             6,432         6,617
                                                -------       -------
                                                 96,892       115,645
                                                -------       -------

  NET LOSS                                    $(566,757)    $(642,214)
                                               ========      ========

Net loss allocated to limited
  partners                                    $(561,089)    $(635,792)
                                               ========      ========

Net loss allocated to general
  partner                                     $  (5,668)    $  (6,422)
                                               ========      ========

Net loss per BAC                              $    (.15)    $    (.17)
                                               ========      ========




       The accompanying notes are an integral part of these statements.
                                      11


             Boston Capital Tax Credit Fund III L.P.

                     STATEMENTS OF OPERATIONS

                   Three Months Ended September 30,
                           (Unaudited)

                                                      SERIES 19
                                               ----------------------
                                                 1999          1998
                                                 ----          ----
Income
  Interest income                             $  17,707    $   24,762
  Other income                                      900
                                                -------       -------
                                                 18,607
Share of loss from Operating
  Partnerships (Note D)                        (410,742)     (701,123)
                                                -------       -------

Expenses
  Professional fees                              14,620        15,502
  Fund management fee (Note C)                  100,337       100,587
  Amortization                                    3,643        13,045
General and administrative expenses               7,390         7,664
                                                -------       -------
                                                125,990       136,798
                                                -------       -------

  NET LOSS                                    $(518,125)    $(813,159)
                                               ========      ========

Net loss allocated to limited
  partners                                    $(512,944)    $(805,027)
                                               ========      ========

Net loss allocated to general
  partner                                     $  (5,181)    $  (8,132)
                                               ========      ========

Net loss per BAC                              $    (.13)    $    (.20)
                                               ========      ========





       The accompanying notes are an integral part of these statements.
                                     12




                   Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF OPERATIONS

                       Six Months Ended September 30,
                              (Unaudited)



                                             1999         1998
                                             ----         ----

Income
  Interest income                       $    93,885   $   129,246
  Other Income                               23,117             -
                                          ---------     ---------
                                            117,002       129,246
Share of loss from Operating
  Partnerships (Note D)                  (5,545,739)   (7,131,081)
                                          ---------     ---------

Expenses
  Professional fees                         163,737       176,679
  Fund management fee (Note C)            1,169,952     1,173,969
  Amortization                               34,618        94,985
  General and administrative expenses        93,160        92,978
                                          ---------     ---------
                                          1,461,467     1,538,611
                                          ---------     ---------

  NET LOSS                              $(6,890,204)  $(8,540,446)
                                         ==========    ==========

Net loss allocated to limited
  partners                              $(6,821,302)  $(8,455,041)
                                         ==========    ==========

Net loss allocated general
  partner                               $   (68,902)  $   (85,405)
                                         ==========    ==========

Net loss per BAC                        $     (1.53)  $     (1.91)
                                         ==========    ==========




       The accompanying notes are an integral part of these statements.
                                     13


                Boston Capital Tax Credit Fund III L.P.

                       STATEMENTS OF OPERATIONS

                    Six Months Ended September 30,
                            (Unaudited)

                                                      SERIES 15
                                               -----------------------
                                                  1999          1998
                                                  ----          ----
Income
  Interest income                            $    19,840   $     4,976
                                                 -------     ---------

Share of loss from Operating
  Partnerships (Note D)                         (905,022)   (1,138,450)
                                                 -------     ---------

Expenses
  Professional fees                               41,718        46,307
  Fund management fee (Note C)                   235,474       248,701
  Amortization                                     5,256         5,256
  General and administrative expenses             18,164        17,936
                                                 -------     ---------
                                                 300,612       318,200
                                                 -------     ---------

  NET LOSS                                   $(1,185,794)  $(1,451,674)
                                               =========     =========

Net loss allocated to limited
  partners                                   $(1,173,936)  $(1,437,157)
                                               =========     =========

Net loss allocated to general
  partner                                    $   (11,858)  $   (14,517)
                                               =========     =========

Net loss per BAC                             $      (.30)  $      (.37)
                                               =========     =========




       The accompanying notes are an integral part of these statements.
                                     14


                 Boston Capital Tax Credit Fund III L.P.

                        STATEMENTS OF OPERATIONS

                      Six Months Ended September 30,
                              (Unaudited)


                                                     SERIES 16
                                             ------------------------
                                                  1999         1998
                                                  ----         ----
Income
  Interest income                           $    24,742   $    46,053
  Other Income                                      300             -
                                                -------     ---------
                                                 25,042        46,053
Share of loss from Operating
  Partnerships (Note D)                      (1,758,599)   (1,825,987)
                                                -------     ---------

Expenses
  Professional fees                              42,130        44,038
  Fund management fee (Note C)                  315,377       298,694
  Amortization                                    8,425         8,425
  General and administrative expenses            23,279        23,651
                                                -------      --------
                                                389,211       374,808
                                                -------      --------

  NET LOSS                                  $(2,122,768)  $(2,154,742)
                                              =========    ==========

Net loss allocated to limited
  partners                                  $(2,101,540)  $(2,133,195)
                                              =========    ==========

Net loss allocated to general
  partner                                   $   (21,228)  $   (21,547)
                                              =========    ==========

Net loss per BAC                            $      (.39)  $      (.39)
                                              =========    ==========




       The accompanying notes are an integral part of these statements.
                                     1


                 Boston Capital Tax Credit Fund III L.P.

                        STATEMENTS OF OPERATIONS

                      Six Months Ended September 30,
                             (Unaudited)


                                                     SERIES 17
                                             ------------------------
                                                1999           1998
                                               ------         ------
Income
  Interest income                          $     7,919    $     3,556
  Other Income                                  12,000              -
                                             ---------      ---------
                                                19,919          3,556
Share of loss from Operating
  Partnerships (Note D)                     (1,230,720)    (1,660,513)
                                             ---------      ---------

Expenses
  Professional fees                             32,931         35,709
  Fund management fee (Note C)                 258,433        256,509
  Amortization                                   7,775         34,129
  General and administrative expenses           21,670         20,628
                                             ---------      ---------
                                               320,809        346,975
                                             ---------      ---------

  NET LOSS                                 $(1,531,610)   $(2,003,932)
                                            ==========     ==========

Net loss allocated to limited
  partners                                 $(1,516,294)   $(1,983,892)
                                            ==========     ==========

Net loss allocated to general
  partner                                  $   (15,316)   $   (20,040)
                                            ==========     ==========

Net loss per BAC                           $      (.30)   $      (.40)
                                            ==========     ==========




       The accompanying notes are an integral part of these statements.
                                     16


                Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF OPERATIONS

                      Six Months Ended September 30,
                              (Unaudited)


                                                     SERIES 18
                                               ----------------------
                                                 1999          1998
                                                 ----          ----
Income
  Interest income                             $   9,037   $    25,535
                                                -------     ---------

Share of loss from Operating
  Partnerships (Note D)                        (815,220)   (1,040,838)
                                                -------     ---------

Expenses
  Professional fees                              26,243        26,350
  Fund management fee (Note C)                  160,944       169,141
  Amortization                                    5,707        21,084
  General and administrative expenses            14,220        13,092
                                                -------     ---------
                                                207,114       229,667
                                                -------     ---------

  NET LOSS                                  $(1,013,297)  $(1,244,970)
                                              =========     =========

Net loss allocated to limited
  partners                                  $(1,003,164)  $(1,232,520)
                                              =========     =========

Net loss allocated to general
  partner                                   $   (10,133)  $   (12,450)
                                               ========     =========

Net loss per BAC                            $      (.28)  $      (.34)
                                               ========     =========




       The accompanying notes are an integral part of these statements.
                                      17


             Boston Capital Tax Credit Fund III L.P.

                     STATEMENTS OF OPERATIONS

                   Six Months Ended September 30,
                           (Unaudited)

                                                      SERIES 19
                                               ----------------------
                                                 1999          1998
                                                 ----          ----
Income
  Interest income                           $    32,347   $    49,126
  Other income                                   10,817
                                                -------     ---------
                                                 43,164
Share of loss from Operating
  Partnerships (Note D)                        (836,178)   (1,465,293)
                                                -------     ---------

Expenses
  Professional fees                              20,715        24,275
  Fund management fee (Note C)                  199,724       200,924
  Amortization                                    7,455        26,091
General and administrative expenses              15,827        17,671
                                                -------     ---------
                                                243,721       268,961
                                                -------     ---------

  NET LOSS                                  $(1,036,735)  $(1,685,128)
                                              =========     =========

Net loss allocated to limited
  partners                                  $(1,026,368)  $(1,668,277)
                                              =========     =========

Net loss allocated to general
  partner                                   $   (10,367)  $   (16,851)
                                              =========     =========

Net loss per BAC                            $      (.26)  $      (.41)
                                              =========      ========





       The accompanying notes are an integral part of these statements.
                                     1

                   Boston Capital Tax Credit Fund III L.P.

                  STATEMENT OF CHANGES IN PARTNERS' CAPITAL

        Six Months Ended September 30, 1999
         (Unaudited)

                                                Unrealized
                                              gain (loss) on
                                                securities
                                                available
                                    General        for
                     Assignees      Partner     sale, net    Total
                     ---------      -------     ---------    -----


Partners' capital
(deficit)
April 1, 1999       $105,641,899   $(841,658)  $     -    $104,800,241

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                     -           -         -               -


Net income (loss)     (6,821,302)    (68,902)        -      (6,890,204)
                      ----------     -------     ------      ----------

Partners' capital
 (deficit)
    September 30, 1999  $ 98,820,597  $ (910,560) $      -    $ 97,910,037
                     ===========    ========    =======    ===========















       The accompanying notes are an integral part of these statements.
                                     19


                   Boston Capital Tax Credit Fund III L.P.

                  STATEMENT OF CHANGES IN PARTNERS' CAPITAL

                     Six Months Ended September 30, 1999
                                 (Unaudited)
                                                Unrealized
                                              gain (loss) on
                                                securities
                                                 available
                                  General          for
                   Assignees      Partner        sale,net       Total
                         ---------      -------        --------       -----
Series 15
---------
Partners' capital
 (deficit),
 April 1, 1999     $12,681,877   $ (207,932)    $         -   $12,473,945

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                   -            -               -            -

Net income (loss)   (1,173,936)     (11,858)              -    (1,185,794)
                     ---------      -------       ---------    ----------
Partners' capital
(deficit),
September 30, 1999 $11,507,941   $ (219,790)    $         -  $11,288,151
                    ==========     ========      ==========   ==========

Series 16
---------
Partners' capital
(deficit),
 April 1, 1999     $26,130,647   $ (207,376)    $         -  $25,923,271

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                   -            -               -            -

Net income (loss)   (2,101,540)     (21,228)              -   (2,122,768)
                    ----------      -------        --------    ----------
Partners' capital
(deficit),
September 30, 1999 $24,029,107   $ (228,604)    $         -  $23,800,503
                    ==========     ========       =========   ==========

       The accompanying notes are an integral part of these statements.
                                     20


                   Boston Capital Tax Credit Fund III L.P.

                  STATEMENT OF CHANGES IN PARTNERS' CAPITAL

                     Six Months Ended September 30, 1999
                                 (Unaudited)
                                                Unrealized
                                              gain (loss) on
                                                securities
                                                 available
                                    General         for
                     Assignees      Partner       sale,net       Total
                     ---------      -------       --------        -----
Series 17
---------
Partners' capital
 (deficit),
 April 1, 1999     $24,125,744     $(190,325)    $       -   $23,935,419

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                   -             -             -             -

Net income (loss)   (1,516,294)      (15,316)            -    (1,531,610)
                     ---------      --------       -------     ----------
Partners' capital
(deficit),
September 30, 1999 $22,609,450     $(205,641)   $        -   $22,403,809
                    ==========      ========     =========    ==========
Series 18
---------
Partners' capital
(deficit),
 April 1, 1999     $18,447,437     $(127,023)  $        -    $18,320,414

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                   -             -            -              -

Net income (loss)   (1,003,164)      (10,133)           -     (1,013,297)
                    ----------      --------      -------      ---------
Partners' capital
(deficit),
September 30, 1999 $17,444,273     $(137,156)  $        -    $17,307,117
                    ==========       =======    =========     ==========


       The accompanying notes are an integral part of these statements.
                                     2



                   Boston Capital Tax Credit Fund III L.P.

                  STATEMENT OF CHANGES IN PARTNERS' CAPITAL

                      Six Months Ended September 30, 1999
                                 (Unaudited)



                                                 Unrealized
                                               gain (loss) on
                                                 securities
                                                  available
                                    General          for
                     Assignees      Partner        sale,net      Total
                     --------       -------        --------      -----


Series 19
---------

Partners' capital
 (deficit),
 April 1, 1999     $24,256,194     $(109,002)   $         -   $24,147,192

Net change in
  unrealized gain
  (loss) on secur-
  ities available
  for sale                   -             -              -             -

Net income (loss)   (1,026,368)      (10,367)             -    (1,036,735)
                    ----------       -------       --------      ---------
Partners' capital
(deficit),
September 30, 1999 $23,229,826     $(119,369)   $         -   $23,110,457
                    ==========      ========     ==========    ==========












    The accompanying notes are an integral part of these statements.

                                     22


                   Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)



                                             1999             1998
                                             ----             ----
Cash flows from operating activities:

    Net loss                             $ (6,890,204)  $ (8,540,446)
    Adjustments
       Distributions from Operating
         Partnerships                          37,616         15,507
       Amortization                            34,618         94,985
       Share of loss from Operating
         Partnerships   			  5,545,739      7,131,081
    Changes in assets and liabilities
       (Decrease) Increase in accounts
         payable and accrued expenses           4,490         47,965
       Decrease (Increase) in accounts
         receivable                          (306,694)      (171,382)
       Decrease (Increase) in accounts
         payable affiliates                 1,594,302      1,552,651
                                            ---------      ---------
         Net cash (used in) provided by
           operating activities                19,867        130,361
                                            ---------      ---------

Cash flows from investing activities:

     Acquisition costs repaid (paid) for
       Operating Partnerships acquired or
       to acquire                                   -              -
     Capital contributions paid to
       Operating Partnerships                  (2,500)      (156,214)
     Advances to Operating Partnerships             -        (79,236)
     Investments                              115,509        225,648
                                            ---------       --------
         Net cash (used in) provided by
           investing activities               113,009         (9,802)
                                            ---------       --------






                                     2


                  Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)



                                               1999           1998
                                               ----           ----

Continued
---------

Cash flows from financing activity:

     Credit adjusters received from
       Operating Partnerships                       -              -
                                            ---------      ---------
         Net cash (used in) provided by
          financing activity                        -              -
                                            ---------      ---------


         INCREASE (DECREASE) IN CASH AND
           CASH EQUIVALENTS                   132,876        120,559
                                            ---------      ---------

Cash and cash equivalents, beginning        1,693,799      1,653,522
                                            ---------      ---------

Cash and cash equivalents, ending         $ 1,826,675    $ 1,744,081
                                           ==========     ==========


Supplemental schedule of noncash
  investing and financing activates:
     The fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships           $         -    $         -
                                           ==========     ==========








       The accompanying notes are an integral part of these statements.
                                     24


                    Boston Capital Tax Credit Fund III L.P.

                           STATEMENTS OF CASH FLOWS

                         Six Months Ended September 30,
                                 (Unaudited)

                                                    Series 15
                                            -------------------------
                                                1999          1998
                                                ----          ----
Cash flows from operating activities:

   Net loss                                $(1,185,794)  $(1,451,674)
    Adjustments
       Distributions from Operating
         Partnerships                              882           874
       Amortization                              5,256         5,256
       Share of loss from Operating
         Partnerships                          905,022     1,138,450
    Changes in assets and liabilities
       (Decrease) increase in accounts
         payable and accrued expenses              783           322
       Decrease (Increase) in accounts
         receivable                            (30,716)         (444)
       Decrease (Increase) in accounts
         payable affiliates                    294,603       441,965
                                               -------       -------
         Net cash (used in) provided by
           operating activities                 (9,964)      134,749
                                               -------       -------
Cash flows from investing activities:

     Acquisition costs repaid (paid) for
       Operating Partnerships acquired or
       to acquire                                    -             -
     Capital contributions paid to Operating
       Partnerships                                  -             -
     Advances to Operating Partnerships              -      (186,247)
     Investments                                (7,139)       (3,028)
                                               -------       -------
         Net cash (used in) provided by
           investing activities                 (7,139)     (189,275)
                                               -------       -------







                                     2


                 Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)



                                                     Series 15
                                              ----------------------
                                                1999          1998
                                                ----          ----
Continued
---------

Cash flows from financing activity:

     Credit adjusters received from
       Operating Partnerships                        -             -
                                               -------        ------
         Net cash (used in) provided by
           financing activity                        -             -
                                               -------        ------

         INCREASE (DECREASE) IN CASH
           AND CASH EQUIVALENTS                (17,103)      (54,526)


Cash and cash equivalents, beginning           306,884       156,717
                                               -------       -------

Cash and cash equivalents, ending            $ 289,781     $ 102,191
                                              ========      ========

Supplemental schedule of noncash investing
  and financing activities
     The Fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships              $       -    $        -
                                              ========     =========









     The accompanying notes are an integral part of these statements.
                                     2


                  Boston Capital Tax Credit Fund III L.P.

                           STATEMENTS OF CASH FLOWS

                         Six Months Ended September 30,
                                 (Unaudited)

                                                    Series 16
                                            -------------------------
                                                1999          1998
                                                ----          ----
Cash flows from operating activities:

    Net loss                               $(2,122,768)  $(2,154,742)
    Adjustments
       Distributions from Operating
         Partnerships                               25           635
       Amortization                              8,425         8,425
       Share of loss from Operating
         Partnerships                        1,758,599     1,825,987
    Changes in assets and liabilities
       (Decrease) increase in accounts
         payable and accrued expenses            1,164           457
       Decrease (Increase) in accounts
         receivable                            (12,817)      (20,162)
       Decrease (Increase) in accounts
         payable affiliates                    345,990       345,985
                                             ---------      --------
         Net cash (used in) provided by
           operating activities                (21,382)        6,585
                                             ---------      --------
Cash flows from investing activities:

     Acquisition costs repaid (paid) for
       Operating Partnerships acquired or
       to acquire                                    -             -
     Capital contributions paid to Operating
       Partnerships                             (2,500)       (1,500)
     Advances to Operating Partnerships              -             -
     Investments                                (9,618)      121,291
                                             ---------      --------
         Net cash (used in) provided by
           investing activities                (12,118)      119,791
                                             ---------      --------







                                     2


                   Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)




                                                     Series 16
                                             -----------------------
                                                1999         1998
                                                -----        -----
Continued
---------

Cash flows from financing activity:

       Credit adjusters received from
         Operating Partnerships                      -             -
                                             ---------      --------
         Net cash (used in) provided by
           financing activity                        -             -
                                             ---------      --------

         INCREASE (DECREASE) IN CASH
           AND CASH EQUIVALENTS                (33,500)      126,376


Cash and cash equivalents, beginning           213,451       199,558
                                             ---------      --------

Cash and cash equivalents, ending          $   179,951   $   325,934
                                            ==========    ==========

Supplemental schedule of noncash investing
  and financing activities:
     The Fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships            $         -   $         -
                                            ==========    ==========








     The accompanying notes are an integral part of these statements.
                                     2


                  Boston Capital Tax Credit Fund III L.P.

                           STATEMENTS OF CASH FLOWS

                        Six Months Ended September 30,
                                 (Unaudited)

                                                    Series 17
                                            -------------------------
                                                1999          1998
                                                ----          ----
Cash flows from operating activities:

    Net loss                               $(1,531,610)  $(2,003,932)
    Adjustments
       Distributions from Operating
         Partnerships                            4,139         7,803
       Amortization                              7,775        34,129
       Share of loss from Operating
         Partnerships                        1,230,720     1,660,513
    Changes in assets and liabilities
       (Decrease) increase in accounts
         payable and accrued expenses              928        46,596
       Decrease (Increase) in accounts
         receivable                           (267,071)     (130,949)
       Decrease (Increase) in accounts
         payable affiliates                    557,060       368,053
                                             ---------      --------
         Net cash (used in) provided by
           operating activities                  1,941       (17,787)
                                             ---------      --------
Cash flows from investing activities:

     Acquisition costs repaid (paid) for
       Operating Partnerships acquired or
       to acquire                                    -             -
     Capital contributions paid to Operating
       Partnerships                                  -             -
     Advances to Operating Partnerships              -             -
     Investments                               100,000             -
                                             ---------      --------
         Net cash (used in) provided by
           investing activates                 100,000             -
                                             ---------      --------







                                     2


                 Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)



                                                    Series 17
                                            ------------------------
                                               1999          1998
                                               ----          ----
Continued
---------

Cash flows from financing activity:

     Credit adjusters received from
       Operating Partnerships                        -             -
                                             ---------      --------
         Net cash (used in) provided by
           financing activity                        -             -
                                             ---------      --------

         INCREASE (DECREASE) IN CASH
           AND CASH EQUIVALENTS                101,941       (17,787)


Cash and cash equivalents, beginning           349,189       388,024
                                             ---------      --------

Cash and cash equivalents, ending          $   451,130   $   370,237
                                            ==========    ==========

Supplemental schedule of noncash investing
  and financing activities:
     The Fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships            $         -  $          -
                                            ==========    ==========









     The accompanying notes are an integral part of these statements.
                                     3


                  Boston Capital Tax Credit Fund III L.P.

                           STATEMENTS OF CASH FLOWS

                         Six Months Ended September 30,
                                 (Unaudited)

                                                    Series 18
                                            -------------------------
                                                1999          1998
                                                ----          ----
Cash flows from operating activities:

    Net loss                               $(1,013,297)  $(1,244,970)
    Adjustments
       Distributions from Operating
         Partnerships                            1,130         6,130
       Amortization                              5,707        21,084
       Share of loss from Operating
         Partnerships                          815,220     1,040,838
    Changes in assets and liabilities
      (Decrease) increase in accounts
         payable and accrued expenses              856           272
       Decrease (Increase) in accounts
         receivable                             (4,930)       (3,390)
       Decrease (Increase) in accounts
         payable affiliates                    190,974       190,974
                                             ---------      --------
Net cash (used in) provided by
           operating activities                 (4,340)       10,938
                                             ---------      --------
Cash flows from investing activities:

     Acquisition costs repaid (paid) for
       Operating Partnerships acquired or
       to acquire                                    -             -
     Capital contributions paid to Operating
       Partnerships                                  -      (154,714)
     Advances to Operating Partnerships              -       (14,280)
     Investments                                (2,771)      119,676
                                             ---------      --------
         Net cash (used in) provided by
           investing activities                 (2,771)      (49,318)
                                             ---------      --------







                                     3


                 Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)



                                                      Series 18
                                             -----------------------
                                                1999         1998
                                                ----         ----
Continued
---------

Cash flows from financing activity:

     Credit adjusters received from
       Operating Partnerships                        -             -
                                              --------      --------
         Net cash (used in) provided by
           financing activity                        -             -
                                              --------      --------

         INCREASE (DECREASE) IN CASH
           AND CASH EQUIVALENTS                 (7,111)      (38,380)


Cash and cash equivalents, beginning           306,065       301,444
                                              --------      --------

Cash and cash equivalents, ending           $  298,954   $   263,064
                                             =========    ==========

Supplemental schedule of noncash investing
  and financing activities:
     The Fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships             $        -   $         -
                                             =========    ==========









     The accompanying notes are an integral part of these statements.
                                     3


                  Boston Capital Tax Credit Fund III L.P.

                           STATEMENTS OF CASH FLOWS

                         Six Months Ended September 30,
                                 (Unaudited)

                                                    Series 19
                                            -------------------------
                                                1999          1998
                                                ----          ----
Cash flows from operating activities:

    Net loss                               $(1,036,735)  $(1,685,128)
    Adjustments
       Distributions from Operating
         Partnerships                           31,440            65
       Amortization                              7,455        26,091
       Share of loss from Operating
         Partnerships                          836,178     1,465,293
    Changes in assets and liabilities
       (Decrease) increase in accounts
         payable and accrued expenses              759           318
       Decrease (Increase) in accounts
         Receivable/ other assets                8,840       (16,437)
       Decrease (Increase) in accounts
         payable affiliates                    205,675       205,674
                                             ---------      --------
         Net cash (used in) provided by
           operating activities                 53,612        (4,124)
                                             ---------      --------
Cash flows from investing activities:

     Acquisition costs repaid (paid) for
     Operating Partnerships acquired or
       to acquire                                    -             -
     Capital contributions paid to Operating
       Partnerships                                  -             -
     Advances to Operating Partnerships              -             -
     Investments                                35,037      109,000
                                             ---------      --------
         Net cash (used in) provided by
           investing activities                 35,037      109,000
                                             ---------      --------







                                     3


                 Boston Capital Tax Credit Fund III L.P.

                         STATEMENTS OF CASH FLOWS

                       Six Months Ended September 30,
                                (Unaudited)




                                                   Series 19
                                            ------------------------
                                              1999          1998
                                              ----          ----

Continued
---------

Cash flows from financing activity:

     Credit adjusters received from
       Operating Partnerships                        -             -
                                             ---------      --------
         Net cash (used in) provided by
           financing activity                        -             -
                                             ---------      --------

         INCREASE (DECREASE) IN CASH
           AND CASH EQUIVALENTS                 88,649       104,876


Cash and cash equivalents, beginning           518,210       607,779
                                             ---------      --------

Cash and cash equivalents, ending          $   606,859   $   712,655
                                            ==========    ==========

Supplemental schedule of noncash investing
  and financing activities:
     The Fund has increased its investments
     for unpaid capital contributions due to
     the Operating Partnerships            $         -   $         -
                                            ==========    ==========






     The accompanying notes are an integral part of these statements.
                                     3



                  Boston Capital Tax Credit Fund III L.P.

                       NOTES TO FINANCIAL STATEMENTS
                             September 30, 1999
                                (Unaudited)


NOTE A - ORGANIZATION

Boston Capital Tax Credit Fund III L.P. (the "Fund") was formed under
the laws of the State of Delaware as of September 19, 1991 for the purpose of
acquiring, holding, and disposing of limited partnership interests in
Operating Partnerships which will acquire, develop, rehabilitate, operate and
own newly constructed, existing or rehabilitated low-income apartment
complexes ("Operating Partnerships"). The general partner of the Fund is
Boston Capital Associates III L.P., a Delaware limited partnership.  Boston
Capital Associates, a Massachusetts general partnership, whose only two
partners are Herbert F. Collins and John P. Manning, the principals of Boston
Capital Partners, Inc., is the sole general partner of the general partner.
The limited partner of the general partner is Capital Investment Holdings, a
general partnership whose partners are certain officers and employees of
Boston Capital Partners, Inc., and its affiliates.  The Assignor Limited
Partner is BCTC III Assignor Corp., a Delaware corporation which is
wholly-owned by Herbert F. Collins and John P. Manning.

Pursuant to the Securities Act of 1933, the Fund filed a Form S-11
Registration Statement with the Securities and Exchange Commission, effective
January 24, 1992 which covered the offering (the "Public Offering") of the
Fund's beneficial assignee certificates ("BACs") representing assignments of
units of the beneficial interest of the limited partnership interest of the
Assignor Limited Partner.  The Fund registered 20,000,000 BACs at $10 per BAC
for sale to the public in one or more series.  On September 4, 1993 the Fund
filed an amendment to Form S-11 with the Securities and Exchange Commission
which registered an additional 2,000,000 BACs at $10 per BAC for sale to the
public in one or more series.  The registration for the additional BACs became
effective on October 6, 1993.  Offers and sales of BACs in Series 15 through
19 of the Fund were completed and the last of the BACs in Series 15, 16, 17,
18 and 19 were issued by the Fund on June 26, 1992, December 28, 1992, June
17, 1993, September 22, 1993, and December 17, 1993, respectively.  The Fund
sold 3,870,500 of Series 15 BACs, for a total of $38,705,000; 5,429,402 of
Series 16 BACs, for a total of $54,293,000; 5,000,000 of Series 17 BACs, for a
total of $50,000,000; 3,616,200 of Series 18 BACs, for a total of $36,162,000;
and 4,080,000 of Series 19 BACs, for a total of $40,800,000.  The Fund issued
the last BACs in Series 19 on December 17, 1993.  This concluded the Public
Offering of the Fund.






                                     3


                 Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                             September 30, 1999
                              (Unaudited)

NOTE B - ACCOUNTING AND FINANCIAL REPORTING POLICIES

The condensed financial statements included herein as of September 30,
1999 and for the three months then ended have been prepared by the Fund,
without audit.  The Fund accounts for its investments in Operating
Partnerships using the equity method, whereby the Fund adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  Costs incurred by the Fund in
acquiring the investments in the Operating Partnerships are capitalized to the
investment account.  The Fund's accounting and financial reporting policies
are in conformity with generally accepted accounting principles and include
adjustments in  interim periods considered necessary for a fair presentation
of the results of operations.  Such adjustments are of a normal recurring
nature.

Investment Securities
---------------------
The Fund has determined that all of it's investment securities are to be
categorized as securities available for sale.  Securities classified as
available for sale are those debt securities that the Fund purchased that may
be liquidated prior to the maturity date should the need arise.  These
securities are carried an approximate fair market value.

The amortized cost of securities available for sale as of June 30, 1999
by contractual maturity are as follows:

                                 Amortized
                                    Cost
                                 ---------
  Due in one year or less       $2,121,657

  Due after one year                     -
                                 ---------
  Total                         $2,121,657
                                 =========

The fair market value of the securities is $2,121,657.







                                     3



                  Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                             September 30, 1999
                                (Unaudited)

NOTE - B ACCOUNTING AND FINANCIAL REPORTING POLICIES - CONTINUED

Amortized cost is the face value of the securities and any unamortized
premium or discount.  The balance sheet reflects the fair market value under
investments.

Amortization
------------
The Fund amortizes organizational costs over 60 months.  As of September
30, 1999 and 1998 the Fund has accumulated organization amortization totaling
$934,428 and $894,093 respectively.  The breakdown of accumulated organization
amortization within the Fund as of September 30, 1999 and 1998 is as follows:

                               1999           1998
                               ----           ----
              Series 15      $167,077       $167,077
              Series 16       227,909        227,909
              Series 17       205,888        205,016
              Series 18       150,296        139,212
              Series 19       183,258        154,879
                              -------        -------
                             $934,428       $894,093
                              =======        =======

On July 1, 1995, the Fund began amortizing unallocated acquisition costs
over 330 months from April 1, 1995. As of September 30, 1999 the Fund has
accumulated unallocated acquisition amortization totaling $315,542.  The
breakdown of accumulated unallocated acquisition amortization within the fund
as of September 30, 1999 for Series 15, Series 16, Series 17, Series 18, and
Series 19 is $47,402, $75,833, $77,878, $51,490 and $62,939, respectively.

NOTE C - RELATED PARTY TRANSACTIONS

The Fund has entered into several transactions with various affiliates
of the general partner, including Boston Capital Partners, Inc., and Boston
Capital Asset Management Limited Partnership as follows:

Boston Capital Partners, Inc. is entitled to asset acquisition fees for
selecting, evaluating, structuring, negotiating, and closing the Fund's
acquisition of interests in the Operating Partnerships.   Prior to the quarter
ended September 30, 1999 all series had completed payment of all acquisition
fees due to Boston Capital Partners, Inc.


                                     3


                  Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                               September 30, 1999
                                (Unaudited)

NOTE C - RELATED PARTY TRANSACTIONS - CONTINUED

An annual fund management fee based on .5 percent of the aggregate cost
of all apartment complexes owned by the Operating Partnerships, has been
accrued to Boston Capital Asset Management Limited Partnership.  The fund
management fees accrued for the quarter ended September 30, 1999 and 1998 are
as follows:

                               1999            1998
                               ----            ----
              Series 15      $137,013       $137,013
              Series 16       172,995        172,995
              Series 17       141,342        141,342
              Series 18        95,487         95,487
              Series 19       102,837        102,837
                              -------        -------
                             $649,674       $649,674
                              =======        =======

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS

At September 30, 1999 and 1998, the Fund had limited partnership
interests in 241 Operating Partnerships which own or are constructing
apartment complexes.  The breakdown of Operating Partnerships within the Fund
at September 30, 1999 and 1998 is as follows:



                Series 15             68
                Series 16             64
                Series 17             49
                Series 18             34
                Series 19             26
                                     ---
                                     241
                                     ===









                                     38


                  Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                              September 30, 1999
                                (Unaudited)


NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS - CONTINUED

Under the terms of the Fund's investment in each Operating Partnership,
the Fund is required to make capital contributions to the Operating
Partnerships.  These contributions are payable in installments over several
years upon each Operating Partnership achieving specified levels of
construction and/or operations.  The contributions payable at September 30,
1999 and 1998 are as follows:

                                 1999           1998
                                 ----           ----
              Series 15       $   32,922    $    32,922
              Series 16          140,006        145,311
              Series 17        1,367,195      1,367,195
              Series 18           18,554        562,921
              Series 19           34,000        463,000
                               ---------      ----------
                              $1,592,677    $ 2,571,349
                               =========     ==========

The Fund's fiscal year ends March 31st of each year, while all the
Operating Partnerships' fiscal years are the calendar year.  Pursuant to the
provisions of each Operating Partnership Agreement, financial results for each
of the Operating Partnerships are provided to the Fund within 45 days after
the close of each Operating Partnership's quarterly period.  Accordingly, the
current financial results available for the Operating Partnerships are for the
six months ended June 30, 1999.

















                                     39


                 Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                             September 30, 1999
                              (Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

               COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
                       Six months ended June 30,
                             (Unaudited)

                                                 Series 15
                                       ---------------------------
                                          1999             1998
                                          ----             ----
Revenues
   Rental                             $ 4,867,033      $ 4,749,918
   Interest and other                     169,245          238,332
                                        ---------        ---------
                                        5,036,278        4,988,250
                                        ---------        ---------
Expenses
  Interest                              1,381,481        1,429,297
  Depreciation and amortization         1,901,685        1,871,234
  Operating expenses                    3,041,468        3,025,819
                                        ---------        ---------
                                        6,324,634        6,326,350
                                        ---------        ---------

          NET LOSS                    $(1,288,356)     $(1,338,100)
                                        =========        =========
Net loss allocated to Boston
  Capital Tax Credit Fund
  III L.P.                            $  (905,022)     $(1,138,450)
                                        =========        =========

Net loss allocated to other
  partners                            $   (12,884)     $   (13,381)
                                        =========        =========

Net loss suspended                    $  (370,450)     $  (186,269)
                                        =========        =========

The Fund accounts for its investments using the equity method of accounting.
Under the equity method of accounting, the partnership adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  However, the Partnership
recognizes individual operating losses only to the extent of capital
contributions.  Excess losses are suspended for use in future years to offset
excess income.
                                     40

                Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                            September 30, 1999
                              (Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

               COMBINED SUMMARIZED STATEMENTS OF OPERATIONS

                       Six months ended June 30,
                              (Unaudited)

                                                Series 16
                                        --------------------------
                                           1999             1998
                                           ----             ----
 Revenues
   Rental                             $ 6,136,645      $ 6,012,307
   Interest and other                     312,806          473,062
                                        ---------        ---------
                                        6,449,451        6,485,369
                                        ---------        ---------
Expenses
  Interest                              1,965,497        2,112,658
  Depreciation and amortization         2,391,922        2,277,728
  Operating expenses                    4,112,999        3,968,244
                                        ---------        ---------
                                        8,470,418        8,358,630
                                        ---------        ---------

          NET LOSS                    $(2,020,967)     $(1,873,261)
                                       ==========       ==========

Net loss allocated to Boston
  Capital Tax Credit Fund
  III L.P.                            $(1,758,599)     $(1,825,987)
                                       ==========       ==========

Net loss allocated to other
  partners                            $   (20,210)     $   (18,733)
                                       ==========       ==========

Net loss suspended                    $  (242,158)     $   (28,541)
                                       ==========       ==========

The Fund accounts for its investments using the equity method of accounting.
Under the equity method of accounting, the partnership adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  However, the Partnership
recognizes individual operating losses only to the extent of capital
contributions.  Excess losses are suspended for use in future years to offset
excess income.
 4


                 Boston Capital Tax Credit Fund III L.P.

                  NOTES TO FINANCIAL STATEMENTS - CONTINUED
                            September 30, 1999
                               (Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

               COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
                        Six Months ended June 30,
                             (Unaudited)

                                                  Series 17
                                        --------------------------
                                          1999             1998
 Revenues                                 ----             ----

   Rental                             $ 5,449,718      $ 5,385,005
   Interest and other                     215,841          305,686
                                        ---------        ---------
                                        5,665,559        5,690,691
                                        ---------        ---------
Expenses
  Interest                              1,821,772        2,083,741
  Depreciation and amortization         1,922,826        2,104,727
  Operating expenses                    3,164,113        3,179,509
                                        ---------        ---------
                                        6,908,711        7,367,977
                                        ---------        ---------

          NET LOSS                    $(1,243,152)     $(1,677,286)
                                       ==========        =========

Net loss allocated to Boston
  Capital Tax Credit Fund
  III L.P.                            $(1,230,720)     $(1,660,513)
                                       ==========        =========

Net loss allocated to other
  partners                            $   (12,432)     $   (16,773)
                                       ==========        =========


The Fund accounts for its investments using the equity method of accounting.
Under the equity method of accounting, the partnership adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  However, the Partnership
recognizes individual operating losses only to the extent of capital
contributions.  Excess losses are suspended for use in future years to offset
excess income.


 4


                Boston Capital Tax Credit Fund III L.P.

                NOTES TO FINANCIAL STATEMENTS - CONTINUED
 September 30, 1999
                            (Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

             COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
                    Six months ended June 30,
                          (Unaudited)

                                                  Series 18
                                       ----------------------------
                                          1999             1998
 Revenues                                 ----             ----
   Rental                             $ 3,222,312       $3,062,836
   Interest and other                     173,696          116,280
                                        ---------        ---------
                                        3,396,008        3,179,116
                                        ---------        ---------
Expenses
  Interest                              1,053,685        1,105,161
  Depreciation and amortization         1,285,615        1,370,740
  Operating expenses                    1,908,227        1,788,878
                                        ---------        ---------

                                        4,247,527        4,264,779
                                        ---------        ---------

          NET LOSS                    $  (851,519)     $(1,085,663)
                                        =========        =========
Net loss allocated to Boston
  Capital Tax Credit Fund
  III L.P.                            $  (815,220)     $(1,040,838)
                                        =========        =========

Net loss allocated to other
  partners                            $    (8,515)      $  (10,857)
                                        =========        =========

Net loss suspended                    $   (27,784)      $  (33,968)
                                        =========        =========

The Fund accounts for its investments using the equity method of accounting.
Under the equity method of accounting, the partnership adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  However, the Partnership
recognizes individual operating losses only to the extent of capital
contributions.  Excess losses are suspended for use in future years to offset
excess income.

                                     43

                 Boston Capital Tax Credit Fund III L.P.

                 NOTES TO FINANCIAL STATEMENTS - CONTINUED
                          September 30, 1999
                              (Unaudited)

NOTE D - INVESTMENTS IN OPERATING PARTNERSHIPS (continued)

               COMBINED SUMMARIZED STATEMENTS OF OPERATIONS
                      Six months ended June 30,
                             (Unaudited)

                                                  Series 19
                                        --------------------------
                                           1999             1998
 Revenues                                  ----             ----
   Rental                             $ 4,517,530      $ 4,396,231
   Interest and other                     160,447          155,810
                                        ---------        ---------

                                        4,677,977        4,552,041
                                        ---------        ---------
Expenses
  Interest                              1,672,668        1,765,501
  Depreciation and amortization         1,449,178        1,964,599
  Operating expenses                    2,400,755        2,302,035
                                        ---------        ---------

                                        5,522,601        6,032,135
                                        ---------        ---------

          NET LOSS                    $  (844,624)     $(1,480,094)
                                        =========        =========
Net loss allocated to Boston
  Capital Tax Credit Fund
  III L.P.                            $  (836,178)     $(1,465,293)
                                        =========        =========

Net loss allocated to other
  partners                            $    (8,446)     $   (14,801)
                                        =========        =========

The Fund accounts for its investments using the equity method of accounting.
Under the equity method of accounting, the partnership adjusts its investment
cost for its share of each Operating Partnership's results of operations and
for any distributions received or accrued.  However, the Partnership
recognizes individual operating losses only to the extent of capital
contributions.  Excess losses are suspended for use in future years to offset
excess income.
                                     4



                         Boston Capital Tax Credit Fund III L.P.

                        NOTES TO FINANCIAL STATEMENTS - CONTINUED
                                 September 30, 1999
                                       (Unaudited)

NOTE D - INVESTMENT IN OPERATING PARTNERSHIPS-CONTINUED


When comparing the results of operations from the operating partnerships
for the six months ended June 31, 1999 and June 30, 1998 for Series 17 and 19,
variances, some material in nature, exist.  The variances are the result of a
number of factors including an increase in the number of Operating
Partnerships which have completed construction, and an increase in the number
which have completed the lease-up phase.  Smaller variances are anticipated in
future years since the Fund has finished acquiring Operating Partnerships,
construction is complete on all of the Operating Partnerships and most have
completed the lease-up phase.


NOTE E - TAXABLE LOSS

The Fund's taxable loss for the year ended December 31, 1999 is expected
to differ from its loss for financial reporting purposes for the year end
March 31, 2000.  This is primarily due to accounting differences in
depreciation incurred by the Operating Partnerships and also differences
between the equity method of accounting and the IRS accounting methods.  No
provision or benefit for income taxes has been included in these financial
statements since taxable income or loss passes through to, and is reportable
by, the partners and assignees individually.





















                                     45


Item 2.  Management's Discussions and Analysis of Financial Condition and
Results of Operations

Liquidity
---------
The Fund's primary source of funds is the proceeds of its Public
Offering.  Other sources of liquidity will include (i) interest earned on
capital contributions held pending investment and on Working Capital Reserves
and (ii) cash distributions from operations of the operating Partnerships in
which the Fund has and will invest.  Interest income is expected to decrease
over the life of the Fund as capital contributions are paid to the Operating
Partnerships and Working Capital Reserves are expended.    The Fund does not
anticipate significant cash distributions from operations of the Operating
Partnerships.

The Fund is currently accruing the fund management fee.  Pursuant to the
Partnership Agreement, such liabilities will be deferred until the Fund
receives sales of refinancing proceeds from Operating Partnerships which will
be used to satisfy such liabilities.  The Fund's working capital and sources
of liquidity coupled with affiliated party liability accruals allow sufficient
levels of liquidity to meet the third party obligations of the Fund.   The
Fund is currently unaware of any trends which would create insufficient
liquidity to meet future third party obligations.

Capital Resources
-----------------
The Fund offered BACs in a Public Offering declared effective by the
Securities and Exchange Commission on January 24, 1992.  The Fund received
$38,705,000, $54,293,000, $50,000,000, $36,162,000 and $40,800,000
representing 3,870,500, 5,429,402, 5,000,000, 3,616,200 and 4,080,000 BACs
from investors admitted as BAC Holders in Series 15, Series 16, Series 17,
Series 18, and Series 19, respectively.  The Public Offering was completed on
December 17, 1993.

(Series 15)  The Fund commenced offering BACs in Series 15 on January 24,
1992.  Offers and sales of BACs in Series 15  were completed on June 26, 1992.
The Fund has committed proceeds to pay initial and additional installments of
capital contributions to 68 Operating Partnerships in the amount of
$28,257,701.

During the quarter ended September 30, 1999, none of Series 15 net
offering proceeds had been used to pay capital contributions. Series 15
net offering proceeds in the amount of $32,922 remain to be used by the Fund
to pay remaining capital contributions to the Operating Partnerships that
Series 15 has invested in as of September 30,1999.

(Series 16)  The Fund commenced offering BACs in Series 16 on July 13, 1992.
Offers and sales of BACs in Series 16 were completed on December 28, 1992.
The Fund has committed proceeds to pay initial and additional installments of
capital contributions to 64 Operating Partnerships in the amount of
$39,579,774.

                                     4

During the quarter ended September 30, 1999, $2,506 of Series 16 net
offering proceeds had been used to pay capital contributions.  Series 16 net
offering proceeds in the amount of $140,006 remain to be used by the Fund to
pay remaining capital contributions to the Operating Partnerships that Series
16 has invested in as of September 30, 1999.

(Series 17)  The Fund commenced offering BACs in Series 17 on January 24,
1993.  Offers and sales of BACs in Series 17 were completed on June 17, 1993.
The Fund has committed proceeds to pay initial and additional installments of
capital contributions to 49 Operating Partnerships in the amount of
$36,538,204.

During the quarter ended September 30, 1999, none of Series 17 net
offering proceeds had been used to pay capital contributions.  Series 17 net
offering proceeds in the amount of $451,130 remain to be used by the Fund to
pay remaining capital contributions to the Operating Partnerships that Series
17 has invested in as of September 30, 1999.

(Series 18)  The Fund commenced offering BACs in Series 18 on June 17, 1993.
Offers and sales of BACs in Series 18 were completed on September 22, 1993.
The Fund has committed proceeds to pay initial and additional installments of
capital contributions to 34 operating Partnerships in the amount of
$26,442,202.

During the quarter ended September 30, 1999, none of Series 18 net
offering proceeds had been used to pay capital contributions.  Series 18 net
offering proceeds in the amount of $18,554 remain to be used by the Fund to
pay remaining capital contributions to the Operating Partnerships that Series
18 has invested in as of September 30, 1999.

(Series 19).  The Fund commenced offering BACs in Series 19 on October 8,
1993.  Offers and sales of BACs in Series 19 were completed on December 17,
1993.  The Fund has committed proceeds to pay initial and additional
installments of capital contributions to 26 Operating Partnerships in the
amount of $29,614,506.

During the quarter ended September 30, 1999, none of Series 19 net
offering proceeds had been used to pay capital contributions.  Series 19 net
offering proceeds in the amount of $34,000 remain to be used by the Fund to
pay remaining capital contributions to the Operating Partnerships that Series
19 has invested in as of September 30, 1999.



Results of Operations
---------------------
As of September 30, 1999 and 1998 the Fund held limited partnership
interests in 241 Operating Partnerships.  In each instance the Apartment
Complex owned by the applicable Operating Partnership is eligible for the

                                     47


Federal Housing Tax Credit.  Occupancy of a unit in each Apartment Complex
which initially complied with the Minimum Set-Aside Test (i.e., occupancy by
tenants with incomes equal to no more than a certain percentage of area median
income) and the Rent Restriction Test (i.e., gross rent charged tenants does
not exceed 30% of the applicable income standards) is referred to hereinafter
as "Qualified Occupancy."  Each of the Operating Partnerships and each of the
respective Apartment Complexes are described more fully in the Prospectus or
applicable report on Form 8-K.  The General Partner believes that there is
adequate casualty insurance on the properties.

The results of operations for future periods are likely to vary from
those for the period ended September 30, 1999.  The losses from Operating
Partnerships reported for this interim period are not necessarily indicative
of the results anticipated for future periods as some of these Operating
Partnerships are in the lease-up phase.

The Fund incurred a fund management fee to Boston Capital Asset
Management Limited Partnerships in an amount equal to .5 percent of the
aggregate cost of the apartment complexes owned by the Operating Partnerships,
less the amount of certain asset management and reporting fees paid by the
Operating Partnerships.  The fund management fees incurred for the quarter
ended June 30, 1999 for Series 15, Series 16, Series 17, Series 18 and Series
19 were $115,958, $162,551, $125,592, $70,487, and $100,337 respectively.

The Fund's investment objectives do not include receipt of significant
cash distributions from the Operating Partnerships in which it has invested or
intends to invest.  The Fund's investments in Operating Partnerships have been
made principally with a view towards realization of Federal Housing Tax
Credits for allocation to its partners and BAC holders.

(Series 15)  As of September 30, 1999 and 1998, the average qualified
occupancy for the series was 100% for both years.  The series had a total of
68 properties at September 30, 1999, all of which were at 100% qualified
occupancy.

For the six months being reported Series 15 reflects a net loss from
Operating Partnerships of $1,288,356.  When adjusted for depreciation, which
is a non-cash item, the Operating Partnerships reflect positive operations of
$613,329.  This is an interim period estimate; it is not necessarily
indicative of the final year end results.






                                  48




    	Hidden Cove Apartments (Hidden Cove) continues to incur operating
deficits due to high operating expenses.  While the new management company has
been successful in reducing expenses and increasing occupancy, the property
remains unable to operate above break-even.  Major capital improvements items
identified by the management company have been completed.  The remaining items
are to be completed as units turnover and it is anticipated that all of the
items will be completed by year end.  Average physical occupancy at the
property remains at 98%.  To date the Operating General Partner has been
unsuccessful in securing refinancing through local lenders.  Refinancing will
be attempted again in 2000 once the property has maintained stabilized
occupancy greater than 90% for a significant period of time.

The Operating General Partner of School Street I Limited Partnership
(School Street Apts. I) hired a new management company in September 1999 in
order to improve operations at the property.  The average occupancy declined
to 68% during the third quarter of 1999 due to management pursuing evictions
of delinquent tenants.  In addition, the debt was modified in January, 1999
reducing the interest rate to 7.25% and writing down the outstanding principal
of the loan.  Capital needs were addressed as part of the refinancing package
and all repair work is scheduled to be completed by December 31, 1999.

(Series 16)  As of September 30, 1999 and 1998, the average qualified
occupancy for the series was 99.7% for both years. The series had a
total of 64 properties at September 30, 1999.  Out of the total, 62 had 100%
qualified occupancy.

For the six months being reported Series 16 reflects a net loss from
Operating Partnerships of $2,020,967.  When adjusted for depreciation, which
is a non-cash item, the Operating Partnerships reflect positive operations of
$370,955.  This is an interim period estimate; it is not necessarily
indicative of the final year end results.

The management company assumed the role of Operating General Partner of
Mariner's Pointe Limited Partnership I and Mariner's Pointe Limited
Partnership II (Mariner's Pointe Apartment and Mariners's Pointe Apartments
II) effective January 1, 1999.  The new Operating General Partner continues to
focus on reducing the property's operating expenses and reducing vacancies.
The Operating General Partner completed a loan restructure reducing the
interest rate on the mortgage to 8%.  In addition, a second mortgage at a 5.5%
interest rate was closed.  This mortgage was approved by the Investment
Limited Partner and will be used to fund capital needs.  The third quarter
average occupancy was 97%.

                                  49

 (Series 17)  As of September 30, 1999 and 1998, the average qualified
occupancy for the series was 99.7% for both years.  The series had a
total of 49 properties at September 30, 1999.  Out of the total 48 had 100%
qualified occupancy.

For the six months being reported Series 17 reflects a net loss from
Operating Partnerships of $1,243,152.  When adjusted for depreciation, which,
is a non-cash item, the Operating Partnerships reflect positive operations of
$679,674. This is an interim period estimate; it is not necessarily indicative
of the final year end results.

Annadale Housing Partners (Kingsview Manor & Estates) has reported net
losses due to operational issues associated with the property.  In order to
address these issues, the Operating General Partner has hired a consultant to
assist management in aggressively marketing the property.  In addition, the
management agent has hired a new on-site manager and leasing agent.  As a
result of these changes, occupancy reached 97% as of September 30, 1999.  The
rental rates at the property were increased during the quarter.  In a step to
cut costs even further the Operating General Partner has initiated loan
restructure discussions with the first lender for more favorable terms.  These
talks are currently ongoing and the outcome cannot be determined at this time.
The Investment General Partner continues to monitor this situation closely.

The property owned by California Investors VI LP (Orchard Park)  has
reached physical occupancy of 94% as of September 1999.  The increased
occupancy is the result of the management company's aggressive marketing
efforts and the many capital improvements completed at the property, including
office renovations and the addition of an activity center.  These improvements
have been successful in attracting and retaining tenants.  In addition, a
large recreation facility is expected to be built adjacent to the property at
the end of 1999. Once this park is opened, it is expected to further enhance
the appeal of Orchard Park Apartments to families.

















                                    5


(Series 18)  As of September 30, 1999 and 1998 the average qualified occupancy
for the series was 100% for both years.  The series had a total of 34
properties at September 30, 1999, out of the total all had 100% qualified
occupancy.

For the six months being reported Series 18 reflects a net loss from
Operating Partnerships of $851,519.  When adjusted for depreciation, which is
a non-cash item, the Operating Partnerships reflect positive operations of
$434,096.  This is an interim period estimate; it is not necessarily
indicative of the final year end results.

In August 1996 the Investment General Partner was notified that Virginia
Avenue Affordable Limited Partnership (Kristine Apartments) was named as
defendant in a land encroachment complaint.  A judgment was issued which will
remove any uncertainty as to the Operating Partnership's possession of the
land.   The appropriate title information has been received and is in the
process of execution.  Additionally, occupancy started to drop in the fourth
quarter of 1998, with a year-end physical occupancy of 78%.  A new management
company, selected by the Investment General Partner, began at the site in mid
August.  This new management company is focusing on improving occupancy,
collections, and tenant retention.  Periodic cash shortfalls are anticipated
until the occupancy stabilizes and maintenance expenses are reduced.

Parvin's Limited Partnership (Parvin's Branch Townhomes) continues to
incur operating deficits due to higher than average operating expenses and
occupancy issues with its six transitional units.  The General Partner and the
Management Company have been deferring their respective fees to improve the
property's cash flow.  In addition, the General Partner continues to fund
deficits.  The property's 18 non-transitional housing units operate with a
strong occupancy, however, the six transitional units incur significant
turnover, which results in increased operating expense.  The Operating General
Partner has taken a more active role in the leasing and day to day management
of the six transitional units.  The Operating General Partner has been
successful in removing the six transitional units from the program.  As of
1/1/00, the six units will be available to non-transitional qualified
residence.  The property manager is in the process of contacting prospective
residents on the waiting list as well as families on the waiting list of the
Department of Community Affairs to find qualified residents.  The manager
expects to have the six units ready and occupied by qualified residence by
1/15/00.  As of 9/30/99, the property had a 92% occupancy, which is up from
83% recorded at 3/31/99 and the 75% at 6/30/99.  Because of the stable
occupancy in the third quarter, 100% in July, 96% in August and 92% in
September, the operating expenses have been controlled.  It is anticipated the
expenses will remain under control for the balance of the year.  However,
repairs and maintenance expenses are expected to increase in January of 2000
as a result of the turnover and conversion of the six transitional units.






                                     5

(Series 19)  As of September 30, 1999 and 1998 the average qualified occupancy
for the series was 100% and 99.8%, respectively.  The series had a total of 26
properties at September 30, 1999, all of which were at 100% qualified
occupancy.

For the six months being reported Series 19 reflects a net loss from
Operating Partnerships of $844,624.  When adjusted for depreciation, which is
a non-cash item, the Operating Partnerships reflect positive operations of
$604,554. This is an interim period estimate; it is not necessarily indicative
of the final year end results.

Year 2000 Compliance
--------------------

	As Previously stated in the Partnership's 10-K, Boston Capital and its
management have reviewed the potential computer problems that may arise from
the century date change known as the "Year 2000" or "Y2K" problem.  We are
currently in the process of taking the necessary precautions to minimize any
disruptions.  The majority of Boston Capital's systems are "Y2K" Compliant.
For all remaining systems we are working the vendors to make the necessary
upgrades and replacements.  Boston Capital has no reason to believe that any
of its systems will not be fully compliant before the year 2000 and is
committed to ensuring that the "Y2K" issue will have no impact on our
investors.





























                                     52


                               PART II - OTHER INFORMATION


Item 1.  Legal Proceedings

         None

Item 2.  Changes in Securities

         None

Item 3.  Defaults upon Senior Securities

         None

Item 4.  Submission of Matters to a Vote of Security Holders

         None

Item 5.  Other Information

         None

Item 6.  Exhibits and Reports on Form 8-K

         (a)  Exhibits

         None

         (b)  Reports on Form 8-K


















                                     53


                              SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

                                BOSTON CAPITAL TAX CREDIT
                                FUND III L.P.



                                By:  Boston Capital Associates III L.P.




                                By:  C&M Associates d/b/a
                                     Boston Capital Associates



Date:  November 17, 1999        By:  /s/ John P. Manning
                                     -------------------
                                     John P. Manning,
                                     Partner & Principal Financial
                                     Officer

























                                     54